Taxing Tax Changes

Much attention has been focused on the possibility of slashing the corporate tax rate, but those gains could be eroded by other Trump policies.

Trump’s comments that he planned to deliver a “phenomenal” tax plan sent the major indexes to new highs, as we noted in this issue, and continued the bull run that began after his election win. But will the stock market still love the plan tomorrow?

Much of the attention has been focused on the possibility of slashing the corporate tax rate— Barron’s has recommended trimming it to 22%—a change that, on its own, would be fantastic for...